Closing costs are financed by the reverse mortgage and so there is nothing for you to pay at closing.

16Servicing Fee

Paid to servicer to cover cost associated with administration of reverse mortgage after closing

Account Statement

Pay MIP to FHA

Track Taxes Insurance

Cash Advance Disbursements

Toll-free Customer Support

Servicing fee is set aside up front so the borrower does not have to worry with paying it each month

17Protections Safeguards

Non-Recourse no debt to you or your heirs

No Prepayment Penalty may repay at any time either in whole or in part and without penalty

Three Day Right of Rescission

Educational Counseling Session to ensure you understand the program and to examine other options

Advance Disclosures receive a full set of legal documents at application to review prior to closing

18Repayment

Repayment is required in one lump sum payment when

Property is sold, or

Borrower(s) no longer live in home

Repayment options

You or your estate may sell your home and use the proceeds to pay off the reverse mortgage. (Balance of equity goes to you or your heirs.)

Your heirs may keep the home in the family and pay off the reverse mortgage from their own funds or with a new mortgage.

19Summary

Security You never make a payment, never give up title to your home, and can never be forced to move.

Flexibility Structure your cash advance plan for maximum benefit (i.e., lump sum, line of credit, or monthly), and change your plan as many times as you wish.

Peace of Mind Never leave a debt to your heirs and maintain your financial independence and control in the comfortable of your home. Borrowers heirs receive 100 of the remaining equity after the reverse mortgage loan is repaid.